Philippines' $3-billion airport project

In a bid to address chronic flight delays, congestion, and outdated facilities at the Ninoy Aquino International Airport (NAIA), the Philippine government has attracted three potential bidders for its ambitious $3 billion modernization project. The project aims to transform NAIA, currently ranked among the world's worst international airports, into a world-class aviation gateway. The prospective bidders include India's GMR Group, conglomerate San Miguel Corporation, and a Manila consortium, which had previously submitted an unsolicited proposal valued at $4.9 billion for the airport's overhaul. However, this initial proposal was rejected by authorities.

Secretary Jaime Bautista, the Philippine transportation secretary, emphasized the importance of selecting a bidder with extensive experience in airport operations and a strong financial background. He made these remarks during an interview on the sidelines of an Association of Southeast Asian Nations (ASEAN) summit in Indonesia.

To attract overseas investors, the Philippine government is planning two roadshows. The first will be held in Singapore next week, followed by another in Paris in the third week of September. The bidding process is scheduled to open in the last week of December, with the announcement of the winning bidder expected in January.

The selected bidder will not only undertake the airport's modernization but will also be responsible for its operation and maintenance. The modernization project aims to double the airport's capacity, increasing it to approximately 60 million passengers annually. The concession period offered for this colossal project is 25 years.

This development signifies a significant step forward in addressing the long-standing issues plaguing NAIA, with the government's commitment to enhancing the airport's infrastructure and services in line with international standards.